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Future Generation Global Limited (FGG.AX)

Company Dividend Discount ModelIndustry: Asset Management - GlobalSector: Financial Services

Valuation Snapshot

Stable Growth$13.52 - $65.91$28.91
Multi-Stage$7.33 - $8.02$7.67
Blended Fair Value$18.29
Current Price$1.51
Upside1,111.28%
DecisionBuy

Dividend History & Growth Metrics (10Y)

Metric5Y CAGR10Y CAGR202420232022202120202019201820172016
DPS39.73%0.00%0.070.060.060.030.020.010.010.010.010.00
YoY Growth--3.72%9.41%119.39%49.76%42.88%88.96%1.53%7.06%0.00%0.00%
Dividend Yield--4.74%5.45%5.20%1.68%1.20%0.99%0.50%0.52%0.57%0.00%

Stable Growth Model (Adjusted)

(USD in Millions except Per Share Data)
Net Income To Common (M)131.94
(-) Cash Dividends Paid (M)46.32
(=) Cash Retained (M)85.62
MetricLOWBASEHIGH
Required Retention Ratio20.0%12.5%7.5%
(=) Cash Required (M)26.3916.499.90
Cash Retained (M)85.6285.6285.62
(-) Cash Required (M)-26.39-16.49-9.90
(=) Excess Retained (M)59.2369.1375.72
(/) Shares Outstanding (M)398.10398.10398.10
(=) Excess Retained per Share0.150.170.19
LTM Dividend per Share0.120.120.12
(+) Excess Retained per Share0.150.170.19
(=) Adjusted Dividend0.270.290.31
WACC / Discount Rate7.57%7.57%7.57%
Growth Rate5.50%6.50%7.50%
Fair Value$13.52$28.91$65.91
Upside / Downside795.69%1,814.84%4,264.86%

Multi-Stage Model: Projections

(USD in Millions)
MetricTTMDec-27Dec-28Dec-29Dec-30Dec-31Terminal
Net Income (M)131.94140.51149.65159.37169.73180.76186.19
Payout Ratio35.11%46.08%57.06%68.04%79.02%90.00%92.50%
Projected Dividends (M)46.3264.7585.39108.44134.12162.69172.22

Multi-Stage Valuation

MetricLOWBASEHIGH
WACC / Discount Rate7.57%7.57%7.57%
Growth Rate5.50%6.50%7.50%
Year 1 PV (M)59.6360.2060.76
Year 2 PV (M)72.4273.8075.19
Year 3 PV (M)84.6987.1289.60
Year 4 PV (M)96.47100.18103.99
Year 5 PV (M)107.76112.96118.37
PV of Terminal Value (M)2,497.192,617.802,743.03
Equity Value (M)2,918.163,052.063,190.95
Shares Outstanding (M)398.10398.10398.10
Fair Value$7.33$7.67$8.02
Upside / Downside385.44%407.72%430.82%

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